Being underinsured or having no insurance cover is a risky business. Let Hippo connect you with the best professional liability insurance options in a few easy steps. We only work with the best in the business, and so should you.
Whether you’re a florist, dentist, or an accountant, there are certain risks that most businesses face like fire, theft, natural disaster or employee injury. Business Insurance provides cover against these unforeseen events that could lead to substantial financial loss.
You can’t predict what might happen to your business in the future. There are many factors that could threaten its productivity, such as unexpected fire damage to your property, theft, a natural disaster, or the injury of a key employee.
Without cover you might be exposing your company to risk; a single blunder could drain your hard-earned resources and force you to cease operation.
What does professional liability insurance cover?
Professional liability insurance is an insurance policy that protects you (as the business owner) and your employees if you’re found to be legally responsible for third-party property damage or bodily injury suffered during the course of business. This includes cases where you’re proven to have been negligent, resulting in the accidental death, bodily injury or illness of any person, or accidental loss of or damage to their property.
What are the benefits of having professional liability insurance?
Every business – even one like yours, which has expert staff and superb quality controls – faces certain risks from third-party claims. Accidents and mistakes happen. If something were to happen to one of your customers or employees, or even a member of the general public, on your business premises, they could claim for injury or damages, and you could risk being exposed to substantial financial losses.
What is not covered?
Public liability insurance only covers third parties – so it won’t cover you for any accidents or injuries that happen to you as the business owner or to your employees, or for damage to your own goods or property during the course of conducting business. You’ll need personal, business or products liability insurance if you want that kind of coverage.
Similarly, public liability insurance won’t cover the business owner personally against defamation charges (libel or slander) or against false statements made by or on behalf of the company in marketing materials. You’ll need general liability coverage for that.
How much cover is enough?
A liability claim could put you out of business if you’re not adequately insured. It’s impossible to know exactly what could go wrong or how big a potential third-party claim might be, but you’ll want to get the widest indemnity cover at the lowest cost. Remember to include cover for possible legal fees, too. Some public liability insurance covers the cost of claims against you, including any defence costs or settlements.
The benefits of comparing public liability insurance on Hippo.co.za
No business is immune to third-party claims, regardless of how carefully it may do business or how thorough its quality-control processes are. If you don’t have adequate cover, a successful claim could put you out of business.
Who needs professional liability cover?
Any business – regardless of its size – needs some form of public liability cover. Accidents happen, and a successful claim against your business could be catastrophic if you’re not adequately insured.
What are my options when it comes to professional liability insurance?
Liability Insurance includes, but not limited to: Directors and Officers, Errors and Omissions, and Broadform. These cover you for a range of things, including a customer getting injured on your premises, your employees causing damage to someone’s property, a product you’ve manufactured causing harm to someone, and a sudden chemical leak from your factory harming the natural environment.
What is Directors and Officers Liability Insurance?
This provides the directors and officers of a business with coverage for legal liability arising from claims or lawsuits filed by shareholders, regulators, employees and others.
What is Errors and Omissions Liability Insurance?
Here your business has the benefit of being covered for both professional liability and claims on defective products. This includes legal liability cover for your business operations and premises, pollution liability cover, product liability and other optional extensions.
What is Broadform Liability Insurance?
Some business owners might mistakenly believe that they can wing it themselves when it comes to matters of law. Don’t make that mistake. Legal proceedings are very technical. That’s why lawyers exist, and that’s why it pays to have the insurance cover to pay for them.
If I have professional liability cover, do I have any other legal requirements?
Yes. As the business owner, CEO or MD, you’re responsible for ensuring that your business premises comply with the Occupational Health and Safety Act and any other applicable laws. That means you still have to do whatever is reasonably practicable to make your place of business safe – for yourself, your employees, your customers and anybody else.
Hippo is retrieving information so you can complete the process, it will be worth the wait.